In this paper, a contact-type linear encoder-like capacitive displacement sensor (CLECDS) is proposed. It is based on the linear encoder capacitive displacement sensor that consists of two substrates with a series of conducting grating in identical size and it is used as a contact sensor of which the two substrates assembled faced to each other after coated with thin dielectric film. It was confirmed that the prototype of this sensor has resolution of about 126nm and measuring range of 20 mm in the test.